there are more than 1000 machines in our company.For calculationg Machine Hour Rate (for cost capturing using activity rate) we take the annual depreciation as machine cost.After the bookvalue becomes zero, what should be the machine cost?
We operate these machines in 1,2 and 3 shifts.This depends on the production requirements.Can I change the rate of depreciation depending on the shifts for which the machines are operated?(This depreciation is only for calculating Machine Hour Rate)
Will there be any Audit Objection if I use different rates of depn. for financial accounting and cost accounting purpose.(Our company is not covered by Cost Audit)
Pl. help.
CAclubindia
